Fiat Chrysler says SEC, states join EPA diesel-car probe – Chicago Tribune

Posted: Wednesday, March 01, 2017

Fiat Chrysler Automobiles said the Securities and Exchange Commission and states’ attorneys general are investigating its diesel models, as scrutiny escalates of vehicles that environmental regulators have said violate pollution laws.

Following Environmental Protection Agency allegations in January that Fiat Chrysler put software in Jeep and Ram diesel models allowing them to exceed pollution limits, the automaker received “various inquiries, subpoenas and requests for information,” according to a regulatory filing Tuesday. The demands have come from authorities including the U.S. Department of Justice, the SEC and several states, the Italian-American carmaker said.

The EPA stopped short of calling the software Fiat Chrysler used in about 104,000 Jeep Grand Cherokee and Ram 1500 models a “defeat device,” which Volkswagen admitted to using in a scandal that’s cost the German company about 22.6 billion euros ($23.9 billion). Fiat Chrysler’s U.S.-listed shares have fallen 1.1 percent since the EPA issued its notice on Jan. 12, as investors have questioned the extent of the similarities between its case and Volkswagen’s, whose stock is down 14 percent since its emissions manipulation emerged in September 2015.

Separately in the filing, Fiat Chrysler said Chief Executive Officer Sergio Marchionne collected about $12 million in total compensation last year, midway through what the auto-industry dealmaker has billed as his final five-year plan for the company. Marchionne, 64, has disputed the EPA’s allegations, calling them “unadulterated hogwash.”

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